Seventy percent of U.S. households own pets according to the 2021-2022 National Pet Owners Survey conducted by the American Pet Products Association (APPA).

There’s no doubt about it, we love our pets and they love us back – unconditionally. They don’t care what we look like, whether our jokes are funny, or kind of car we drive. They even benefit our health. Pets help keep us active and reduce our stress levels. 

A study conducted by AAHA (American Animal Hospital Association) revealed that more than 90% of pet owners believe their pets improve their quality of life. Some important statistics include:

• 31% say their pets have improved their physical fitness level
• 76% claim their pets reduce stress levels in their house
• 65% believe their pets have improved their overall mental health

Adopting a dog or adopting a cat can help teach young children important life skills such as responsibility and empathy. 

A new pet can also be good for your love life. According to a survey by Purina, 54% of surveyed pet owners said their pets helped them start a conversation with someone they were interested in.

And if that doesn’t work, you always have someone to watch Netflix with. Plus, they make us laugh all the time. They’re always doing something funny and are a constant source of entertainment. 

Some pets are so entertaining they make money just by being their cute little selves. Just check out Instagram and you’ll find no shortage of pet influencers making their owners some serious change.  Manny The Frenchie makes $3,122 for every post on Instagram – that’s almost $200,000 a year. 

The initial cost, whether it’s the pet adoption fee you pay to a shelter or rescue, or the purchase fee from a responsible breeder, is just the beginning. So be sure you’re ready for a serious, yet rewarding commitment. Many pets can live well over 10 years, and caring for a pet can be a major expense.

While you can expect to pay upfront costs including vaccinations, pet training and more, you should also consider ongoing expenses including food, veterinary visits, pet boarding or pet sitters. 

According to the American Pet Products Association, Americans spent $103.6 billion on their pets in 2020, an increase from the $97.1 billion they spent on pets in 2019.

What makes up that 103.6 billion? Let’s consider the basic annual cost of owning a dog and the annual cost of owning a cat — our two most popular pets. 

 2021-2022 APPA National Pet Owners Survey

Looking for a more unusual pet? Good news. You may be able to save some money. The Ferrets and Friends website lists annual and startup costs for a number of little critters including the ones below. While they can still be a serious financial commitment, most of them are a lot less expensive than a dog or a cat.

Keep in mind that these costs are averages. Unexpected surgical procedures can run you well into the thousands. What if your pet needs special food or expensive medications? No one wants to be put in a situation where you’re deciding between the welfare of your beloved pet or being able to pay your rent or mortgage. 

If you’re going to own a pet, it’s a smart idea to put aside a few thousand dollars for emergencies. You can use our Budget Calculator to figure out how much you can put away based on your monthly income and spending.  

If the cost of an emergency veterinary visit or serious illness would be a financial strain, consider investing in pet health insurance while your pet is healthy. 

Pet insurance typically includes coverage for accidents, illnesses, injuries and some routine exams. Some policies even provide coverage for prescription drugs and prescribed pet food. But shop carefully. The coverage you get and the price you pay depends on the policy you buy. 

Search for a pet that best matches your needs. Petfinder is a directory of nearly 11,000 animal shelters and adoption organizations across the U.S., Canada and Mexico. You’ll also find discussion forums, a pet-care resource directory and a library of free pet-care articles.